Politickernj.com-State Street Wire  - Key components of Christie’s second State of the State

By Timothy J. Carroll | January 17th, 2012 - 4:04pm

TRENTON – Gov. Chris Christie’s big announcement today was a 10 percent income tax cut. But what else was in the text of his second State of the State address?

THE FUTURE:

-Reduction of income tax rates by 10 percent across the board

-Full restoration of Earned Income Tax Credit cut in 2010

-Opposition to tax increase for top earners

-Denouncement of Supreme Court’s Abbott decision and school funding formula

-Call for education reform: teacher tenure; last-in, first-out; merit pay; and educator placement

-Call for charter school reform: authorizers; streamlined processes; and focus on failing school districts

-Press for the passage of the Opportunity Scholarship Act

-Introduction of a bail reform package, mirror of federal system (may require constitutional amendment)

-Expand drug court pilot program statewide; divert non-violent offenders from prison and mandate treatment

THE PAST:

-Balanced budget, reversal of “declines, deficits, and departures”

-Cut spending two years in a row

-Shrinking unemployment rate and private sector job growth

-Pension system “saved” for public workers, $120 billion saved

Star Ledger - Gov. Christie proposes 10 percent N.J. income tax reduction

Published: Tuesday, January 17, 2012, 4:01 PM Updated: Tuesday, January 17, 2012, 5:25 PM

By Salvador Rizzo/Statehouse BureauThe Star-Ledger

TRENTON — Gov. Chris Christie today proposed a 10 percent reduction in state income taxes regardless of income — phased in over three years — and restoration of the earned-income tax credit that would benefit the state's poorest citizens.

Understand what this means," Christie said in his State of the State message, the second one he has delivered since becoming governor in January 2010,. "Every New Jerseyan will get a cut in taxes. The working poor. The struggling middle class. The new college graduates getting their first job. The senior citizens who have already retired. The single mom. The job creators. The parents trying to afford to send their son or daughter to college.

As he put it: " Everyone made the sacrifice. Everyone will share in the benefit."

Gov. Chris Christie's 2012 State of the State prepared remarks

Looking back on his first two years in office, the governor said New Jersey's economy has turned a corner from the "dark days of 2010."

He began his address in the Assembly chamber by touting some of his signal accomplishments: scaling back pensions and benefits for public workers, capping property tax increases and arresting the growth of the state's unemployment rate.

Gov. Christie promises to reduce income tax rates by 10 percent across the boardIn his second State of the State address, New Jersey Governor Chris Christie proposes tax relief by reducing income tax rates for each and every New Jerseyan. January 17th, 2012. (NJTV)Watch video

"We have restrained the growth of property taxes," Christie told legislators, state Supreme Court justices and former governors gathered in the Statehouse. "We have put our pensions on a more stable and sustainable footing. And in doing all this, we have restored confidence and pride in New Jersey."

Christie vowed that even with those gains, he would remain a hyper-vigilant budget hawk.

He rejected a proposal by Assembly Speaker Sheila Oliver (D-Essex), made hours earlier, to increase income taxes on the state's millionaires.

"Let others choose tax increases," Christie said. "We choose responsible tax cuts to give our overburdened citizens real relief."

Democratic response to Gov. Christie's 10 percent tax cut, State of the State speechAssembly speaker Sheila Oliver comments on the Governor Christie's ten percent tax cut during his second State of the State address, saying that the tax cuts actually favor the wealthy. January 17th, 2012. (NJTV)Watch video

Christie, who criticized Washington politicians for partisan gridlock, praised Oliver and Senate President Stephen Sweeney (D-Gloucester) for crossing the aisle to work with him.

"Our economy suffers while Washington politicians — in both parties — fiddle," he said. "Over the last two years New Jersey did the exact opposite. We achieved results because we did it together."

The governor's address to a packed Assembly chamber then moved to education reform.

Christie said he would keep pushing for "sweeping" changes to the tenure system for teachers, opening up more pathways for charter schools to set up in New Jersey, allowing layoffs based on performance and not seniority, merit pay for teachers, and "vouchers" for students in failing schools.

Videos: State of the State

• Opening remarks -- Christie: New Jersey has begun its comeback

• Income tax cut -- Governor proposes 10 percent tax relief across the board

• Last in, first out -- Christie proposes a new approach to education and tenure

• Name-calling -- Governor jokes that friends like Democrat Stephen Sweeney have called him names

• Democratic response -- Assembly speaker Sheila Oliver says proposed tax cuts favor the wealthy

"I have worked with this Legislature — on a bipartisan basis — to put in front of you a package of bills that will address the biggest challenges facing public education," he said. "We have had a year to debate, discuss and deliberate. Now, in 2012, it is time to act."

Christie said New Jersey had also turned a corner another front — the battle of public relations and public perceptions. The state is no longer a punch line in popular culture, the governor said.

"Over the last two years, New Jersey is now seen around the country once again, not exclusively as the butt of late-night jokes, but as a focus of the evening news and Sunday talk shows," Christie said. "Why? Because, once again, we are leading America — by taking on the big things in public policy.”